Just over 14% of consumers have a poor credit score, defined as below 580, according to Experian data from 2025.
A low credit score typically means less favorable terms on a car loan (and most other types of debt), and in some cases, it can lead to outright denial.
While it's always a good idea to work on improving your credit, that's not always realistic when you need a car quickly. In those situations, the focus often shifts to finding lenders willing to work with your current financial profile.
Below are car loan options designed for borrowers in this category. Keep in mind that higher interest rates and less favorable terms are common. See our methodology below for more details.
Best car loans for a 580 credit score or below
Best for refinancing: iLending
Who's this for? iLending helps you get matched to lenders that fit your needs if you're pursuing refinancing. Repayment terms can be as long as 96 months for some lenders in its network, making it an ideal choice if you're looking for a longer time horizon for paying off your loan.
Standout benefits: iLending has fairly accessible minimum requirements to get matched to lenders. You'll need an income of $1,500 per month, a 560 credit score and a credit history of just six months with at least one account on it.
iLending
APR
4.99% to 19.24%
Loan type
Refinancing
Loan amounts
$5,000 to $150,000
Terms
12 to 96 months
Minimum credit score
560
Fees
Not disclosed
Availability
iLending lends in all 50 U.S. states except Hawaii.
Terms apply.
Pros
- Low minimum credit score
- Longer repayment terms available
- Allows borrowers to skip payments
- No application fee
Cons
- Only offer refinancing, not financing for new or used cars
- Fee structure not clear on website
Best for low dealer fees: Westlake Financial
Who's this for? Westlake Financial works directly with dealers to offer loan programs with dealer fees as low as $0. This lender also boasts down payments as low as $0, but as with any other loan term, these offers may be dependent on your credit profile.
Standout benefits: Westlake Financial offers loan programs for every credit score. The standard program is for credit scores of 0 to 599; the gold program is for credit scores of 600 to 699; platinum covers credit scores from 700 to 749; titanium is for credit scores of 750 and above.
Westlake Financial Auto Loan
APR
2.99%-29.99%
Loan type
New and used cars, RVs, commercial vehicles, classic cars, luxury and exotic cars
Loan amounts
$5,000-$30,000
Loan terms
48 to 72 months
Minimum credit score
Not specified
Fees
Not disclosed
Availability
Westlake Financial lends in all 50 U.S. states
Terms apply.
Pros
- Lends to borrowers with bad credit
- Online pre-qualification available
- Provides financing for RVs and luxury, classic and exotic cars
Cons
- Received C from Better Business Bureau
Best for used cars: CarMax
Who's this for? CarMax specializes in helping customers make used car purchases, so it's worth browsing their inventory to find something you love.
Standout benefits: CarMax doesn't have a minimum credit score requirement, making it a flexible lender if your credit score is under 580.
- Open to borrowers with bad credit
- No early payoff fees
- Prequalification available
- 100% online application process available
- Low minimum loan amount
- Allows co-borrowers
- Specializes in lending for used cars
- Financing is only available for cars sold at CarMax
- Not available in all states
- Prices are non-negotiable
Best for accessibility: Autopay
Who's this for? Autopay auto loans are available in all 50 states, making it a highly accessible lender no matter where you are. Other lenders on this list are available in most, but not all, U.S. states.
Standout benefits: Eligible borrowers can apply for a loan of up to $100,000, and Autopay offers lease buyout as an option.
- Open to borrowers with bad credit
- No early payoff fees
- Prequalification available
- Wide loan amount range
- Allows co-applicants
- Offers loan repayment terms as long as 96 months, which is longer than that of many other lenders
- Loan approval may take up to 48 hours
- Loan funding can take up to two weeks
Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability.
The largest auto insurer in the U.S., State Farm has an excellent reputation for customer satisfaction and affordable rates, even for teens.
Available to service members, veterans and their families, USAA routinely scores highly on J.D. Power's customer satisfaction surveys for auto insurance. Discounts for bundling, safe drivers, new cars, and loyal customers. Add-ons include rideshare insurance, coverage for classic cars and commercial autos, roadside assistance and rental car reimbursement.
Correction: iLending helps borrowers refinance their auto loans. An earlier version of this article mischaracterized iLending's services.
FAQs
Can I get a car loan with a 500 credit score?
Yes, you can get a car loan with a 500 credit score but it could be a bit more challenging. You may be asked to make a larger down payment or get a co-signer, and you may get hit with higher interest rates.
What is considered a bad credit score?
A bad credit score is considered anything below 580.
What are the three types of auto loans?
The three main ways you can get auto financing include dealer financing, banks / credit unions and online lenders.
Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability.
Geico auto coverage is available in all 50 states and Washington, D.C., with 16 discounts and add-ons like roadside assistance, rental car reimbursement and mechanical breakdown insurance.
Progressive offers an array of riders, including rideshare insurance and a Deductible Savings Bank that deducts $50 each policy period you go without a claim. It also offers mechanical breakdown insurance, which covers unexpected major system failures.
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Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every car loan list is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of auto financing. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best car loans for a credit score of 580 or below.
Our methodology
To determine which auto loans are the best for consumers with credit scores of 580 or lower, CNBC Select analyzed several lenders, including banks, dealerships and online marketplaces. When narrowing down the best lenders, we focused on the following features:
Credit requirements: Each lender approves financing for applicants with a FICO Score of 580 or below, or it doesn't have official, strict minimum credit score requirements.
Loan sizes: Lenders on our list provide loans in a range of sizes, from $500 to $100,000, and they advertise their respective payment limits and loan sizes.
Loan terms: Each lender provides more than one financing option that you can customize based on your monthly budget and how long you need to pay back your loan.
Fees: Lenders that do not charge an origination fee or prepayment penalties were given more weight.
We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools.
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